LIC Pension Policies for Senior Citizens

1. In the Budget of 2018-19, the maximum investment limit of the plan was increased to Rs.15 lakh.
2. The last date for applying to the scheme has also been stretched to 31 March, 2020.
3. The maximum investment limit has also been revised for each senior citizen, as opposed to the rule of per family. For example, if the husband and wife are both senior citizens, they can each invest upto Rs.15 lakh in the scheme.

Eligibility Criteria and Restrictions

Benefits of Pradhan Mantri Vaya Vandana Yojana

The following benefits are offered under the plan:

1. Death Benefit: The purchase price of the policy is given to the nominee, in case the pensioner passes away during the 10-year term of the policy.
2. Pension Payment: In case the pensioner survives while the policy is still in force (during the course of the policy term), pension in installments or arrears will be payable.
3. Maturity Benefit: In case the pensioner survives till the end of the 10-year policy, the final pension arrear along with the purchase price will be payable.

LIC's New Jeevan Nidhi

LIC's New Jeevan Nidhi incorporates the features of both protection and savings. It is a conventional pension plan with profits and it also provides cover for death during the deferment period. New Jeevan Nidhi also provides annuity upon survival of the pensioner to the vesting date.

Eligibility Criteria and Restrictions

Benefits of LIC's New Jeevan Nidhi

The following benefits are offered under LIC's New Jeevan Nidhi

1. Vesting Benefit:

After the end of the vesting period, assuming the policy is still active, the life assured will be entitled to an amount which is equivalent to the basic sum assured + vested Simple Reversionary bonuses + accrued Guaranteed Additions and Final Additional bonus (if any).

1. Death Benefit:
   1. If the insured passes away within the initial five years of the policy: If the policy is in full force, then the family of the insured receives the Basic Sum Assured amount coupled with accrued Guaranteed Additions. This amount is made available by LIC either in lump sum or as annuity. In addition to lump sum/annuity, the benefit may also be given in a combination of both the elements.
   2. If the insured passes away after a period of five policy years: If the policy is in-force, then the family of the insured receives the Basic Sum Assured amount coupled with accrued Guaranteed Additions, Final Additional Bonus (if applicable), and vested Simple Reversionary Bonuses. This amount is made available to the family of the insured either in lump sum or as annuity. In addition to lump sum / annuity, the benefit may also be paid in a combination of lump sum and annuity.
2. Optional Benefit:

With LIC's New Jeevan Nidhi, one has the choice of purchasing an add-on benefit known as the Accidental Death and Disability Benefit Rider. This rider is available for regular premium policies only and requires payment of additional premiums. In case the insured passes away because of an accident, the Accident Benefit Sum Assured amount is paid to his/her family in lump sum along with the base plan's Basic Sum Assured amount. In case the insured is rendered disabled by an accident, an amount that is equivalent to the Accident Benefit Sum Assured will be paid by the insurer in the form of installments over the following 10 years. All future premiums under the Base Plan as well as for the Accidental Death and Disability Benefit Rider will be waived.

Policyholders are advised to read through the policy documents carefully before purchasing.